Loading...
•
Mar 31
Plains All American Q1 2025 Earnings Report
Plains All American reported strong earnings performance with notable growth in NGL operations and successful execution on strategic acquisitions.
Key Takeaways
The company posted solid financial results, highlighted by strong adjusted EBITDA, increased pipeline volumes, and strategic expansion of assets in key markets.
Reported net income of $443 million and operating income of $533 million.
Revenue totaled $12.01 billion for the quarter.
Completed two bolt-on acquisitions including Cheyenne Pipeline and Black Knight Midstream assets.
NGL segment adjusted EBITDA grew 19% YoY driven by higher sales volumes and frac spreads.
Plains All American
Plains All American
Plains All American Revenue by Segment
Revenue by Segment
Crude Oil Revenue
CapyFin.comNGL Revenue
CapyFin.com Forward Guidance
Management emphasized continued focus on disciplined growth, financial flexibility, and increasing fee-based cash flow from recent acquisitions and project completions.
Positive Outlook
- 3.3x leverage ratio at low end of target range supports financial strength.
- Fort Saskatchewan debottlenecking project completed, boosting Canadian fee-based cash flow.
- 80% of C3+ product sales hedged at $0.70/gal enhances earnings predictability.
- Recent acquisitions expand Permian Basin and Guernsey-to-Cushing integration.
- Strong distribution yield maintained at ~9% reflecting solid cash returns to unitholders.
Challenges Ahead
- Adjusted free cash flow after distributions was negative at -$639 million.
- Operating expenses increased YoY impacting Crude segment margins.
- Refinery downtime negatively affected asset utilization in crude segment.
- Long-term inventory costing adjustments impacted NGL earnings comparability.
- Cash outflow of $624 million from acquisitions affected near-term liquidity.
Revenue & Expenses
Visualization of income flow from segment revenue to net income